Sirius was recently trading up 26 cents, or 5.8%, to $4.73, with more than 58 million shares trading hands; it was the most active stock on the
Shares of XM Satellite were recently up 72 cents, or 5.4%, to $14.18.
, Sirius chief Mel Karmazin told the Convergence 2.0 conference in New York that he would consider purchasing XM Satellite, but price and regulatory hurdles would be issues.
"Regarding XM -- would we like to buy them? Sure. We'd love to buy them. Price would matter, so that would be an issue ... (and) there would definitely be the regulatory issue," he said.
However, Karmazin stressed that Sirius' business plan "doesn't really involve our doing a deal" and also said he wasn't interested in seeing his own company being bought, according to
Reuters quoted an XM spokesman as saying: "We do not comment on our competitors' wishful thinking."
Sirius has a market cap of $6.6 billion -- to XM Satellite's $3.7 billion -- but it continues to trail XM in total subscribers; both companies have benefited from the promise of satellite radio's growth promise rather than real profit: Sirius lost $863 million in 2005.